Carvana

What Carvana does

Carvana is a publicly traded e-commerce platform (NYSE: CVNA) founded in 2012 and headquartered in Tempe, Arizona, that buys, reconditions, finances, and sells used vehicles directly to individual consumers through carvana.com, supported by home delivery logistics, car vending machines, and a growing network of test drive centers. The company operates a vertically integrated stack that includes in-house financing with Plaid-integrated pre-qualification, embedded insurance through a partnership with Root Insurance, an online sell/trade-in service, and the proprietary CARLI software platform that powers its inspection and reconditioning centers. Through its wholly owned ADESA subsidiary, Carvana runs a national wholesale auto auction business with digital products (ADESA Clear, ADESA Timed, ADESA Simulcast) and physical sites that are being progressively converted to integrated retail-wholesale hubs. Since 2025 Carvana has expanded into new vehicle sales via seven Stellantis franchised Chrysler-Dodge-Jeep-Ram dealerships repurposed as test drive and service hubs, while holding a warrant stake in EV startup Slate Auto and a partnership with Ally Financial for up to $6 billion in auto lending capacity.

The business model is primarily a one-time unit sale of used vehicles, supplemented by transaction-fee revenue from ADESA wholesale auctions, financing and loan income, and growing service and parts revenue from acquired dealerships. In FY2025 Carvana generated approximately $20.3 billion in revenue on more than 600,000 retail units, with Q1 2026 revenue of $6.43 billion up 52% year-over-year on 187,393 retail units, record net income of $405 million, and a 10.4% adjusted EBITDA margin. The company employs over 10,000 people across 34 reconditioning centers and 16 ADESA production sites, is targeting 3 million annual retail units at 13.5% adjusted EBITDA margin by 2030-2035, and has executed a 5-for-1 stock split in May 2026 following a recovery from near-bankruptcy in late 2022.

Name

Carvana

Legal name

Carvana, LLC

Website

https://carvana.com

Company type

Public

Founded year

2012

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

Carvana is a public e-commerce platform (NYSE: CVNA) that buys, finances, and sells used vehicles online with home delivery and vending machine pickup, complemented by its ADESA wholesale auction subsidiary and a growing footprint of Stellantis franchised dealerships for new car sales.

Ownership category

akta.pro rank

Product category

Online Used Car Retail

NAICS

Used Car Dealers (44112), Used Car Dealers (441120), New Car Dealers (441110), New Car Dealers (44111), Other Motor Vehicle Dealers (4412), Motor Vehicle and Parts Dealers (441)

SIC

Retail-Auto Dealers & Gasoline Stations (5500)

akta.pro primary industry

Automotive Vehicles & Parts C2C (CRAFAKAE)

akta.pro secondary industries

New & Used Auto Purchase Loans (FSAKADAA), Auto & Vehicle Loan Brokerage (FSAEAEAK)

Keywords

• Online used car sales
• Auto financing services
• Wholesale auto auctions
• Vehicle reconditioning services
• Digital car marketplace

Headquarters

HQ city

Tempe

HQ country

United States

HQ region

North America

Offices10 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Personnel, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Used Vehicle Sales: Carvana generates primary revenue through the sale of used vehicles directly to consumers via its online platform. The company acquires, inspects, reconditions, and sells vehicles with pricing transparency and no-haggle transactions. Revenue from vehicle sales represents the largest portion of total revenue, with Q1 2026 retail units reaching 187,393 vehicles.
2. Financing and Loan Services: Carvana provides auto financing to customers through its platform, earning interest income and fees from loan originations. The company also partners with Ally Financial (expanded to $6 billion partnership) and has introduced Carvana Insurance powered by Root for embedded insurance offerings at checkout.
3. Wholesale Auction Services (ADESA): Through its ADESA subsidiary, Carvana operates wholesale auto auctions providing digital auction services to financial institutions, fleets, rental companies, and dealer groups. ADESA offers Clear, Timed, and Simulcast auction products.
4. Parts and Service: Revenue from vehicle service, maintenance, and parts operations generated through dealership acquisitions and inspection/reconditioning facilities. This segment is accessed through trade-ins at new-car dealerships and service hubs.
5. Trade-in and Sell Services: Carvana purchases vehicles from consumers through its sell/trade platform, generating revenue through vehicle acquisitions that are then reconditioned and resold through the retail platform.

Pricing tiers

Go-to-market motion1 record

Distribution channels5 records

Marketing channels7 records

Core offering

Carvana operates a digital-first e-commerce platform for buying, selling, and financing used vehicles, offering transparent no-haggle pricing, 150-point vehicle inspections, home delivery, and a 7-day return policy. The company acquires, inspects, reconditions, and sells used cars directly to consumers, with over 65,000 vehicles listed and approximately 600,000+ retail units sold in fiscal year 2025. Through its ADESA subsidiary, Carvana also operates wholesale auto auctions, and has begun selling new vehicles via seven acquired Stellantis franchise dealerships used as test drive centers.

Product overview

Carvana operates a unified e-commerce platform for buying and selling used vehicles online, complemented by proprietary technology infrastructure and strategic acquisitions. The core offering consists of the Carvana Online Used Car Marketplace where customers browse over 65,000 vehicles, complete purchases, and receive home delivery. Supporting services include Carvana Financing (pre-qualification, in-house lending with Plaid integration), the Sell/Trade-In Service (online vehicle appraisal and purchase), and Carvana Insurance powered by Root (embedded coverage at checkout). Underlying the retail operations is CARLI, Carvana's proprietary software platform powering inspection and reconditioning centers. Through its ADESA subsidiary, Carvana operates a wholesale auto auction business with physical locations and a digital platform comprising ADESA Clear, ADESA Timed, and ADESA Simulcast products. Recent expansions include entering new vehicle sales through Stellantis franchise dealerships repurposed as test-drive centers, and a community initiative called Driving Brighter Futures supporting automotive education programs.

Differentiator

Problem solved

Functional benefit

Products and services

• Carvana Online Used Car Marketplace Carvana's primary e-commerce platform enabling customers to browse, purchase, finance, and have used vehicles delivered to their doorstep. The platform offers 100% online car buying with no-haggle pricing, home delivery, and a 7-day return policy. Lists over 65,000 vehicles.
• Carvana Financing In-house auto financing service offering pre-qualification without credit impact, real personalized payment terms, and support for all credit types. Integrated with Plaid for secure bank account verification. Over 1 million customers have used Carvana financing.
• Sell/Trade-In Service Online vehicle appraisal and purchase service allowing customers to sell or trade their vehicle to Carvana. Offers real cash offers valid for 7 days, free vehicle pickup at Carvana hubs, and same-day payment options.
• Carvana Insurance powered by Root Embedded auto insurance product integrated directly into Carvana's online checkout experience in partnership with Root Insurance, allowing customers to obtain custom vehicle coverage in three clicks during the car purchase process.
• ADESA Wholesale Auto Auction Carvana's wholly-owned subsidiary providing physical and digital wholesale auction services. Operates a national network of wholesale auction facilities and a digital platform (ADESA Clear, ADESA Timed, ADESA Simulcast) for wholesale vehicle sellers and buyers including financial institutions, fleets, rental companies, and dealer groups.
• ADESA Clear Digital auction platform product within ADESA's digital wholesale offering that allows wholesale sellers to list and manage vehicle inventory for sale to dealer buyers.
• ADESA Timed Self-service timed digital auction offering extending ADESA's digital wholesale platform, enabling consignors including financial institutions, fleets, rental companies, and dealer groups to list inventory directly through a self-service experience.
• ADESA Simulcast Live digital auction product within ADESA's digital wholesale platform enabling real-time online bidding alongside physical auction events for wholesale vehicle buyers.

Quantifiable outcome

• Q1 2026 retail units of 187,393, up 40% year-over-year
• +4 more outcomes

Named customers1 record

Segments4 records

Ideal customer profiles2 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration4 records

AI capability5 records

Feature3 records

Partnerships

Six partnerships are on record, tiered minor and core.

• Jimmie Johnson FoundationminorGTM or Marketing Partner · 22 June 2026Carvana and the Jimmie Johnson Foundation launched 'Driving Brighter Futures,' a grant program supporting automotive and engineering career and technical education at K-12 public schools nationwide. Nominations open through August 28, 2026.
• RepairPalminorChannel Partner/ Reseller/ Distributor · 7 June 2026Slate Auto, the EV startup backed by Jeff Bezos, partnered with RepairPal to expand its service network ahead of sales launch. Carvana holds a warrant stake in Slate Auto.
• Slate AutominorStrategic or Co-development Partner · 3 June 2026Carvana was granted a warrant to purchase shares in Slate Auto, the Jeff Bezos-backed EV startup. Slate Auto plans to sell its electric pickup truck through Carvana's platform ahead of planned launch later in 2026.
• Root InsuranceminorStrategic or Co-development Partner · 7 May 2026Root Insurance, an auto insurer, expanded its distribution partnership with Carvana, embedding insurance products into Carvana's online checkout experience. Root's ExtraCash product and new writings through partners including Carvana increased nearly 30% year-over-year.
• Root InsurancecoreStrategic or Co-development Partner · 17 April 2026Carvana partnered with Root Insurance to embed auto insurance coverage directly into the online car-buying checkout experience. The partnership created Carvana Insurance powered by Root, designed to provide quick, custom coverage in 3 clicks while handling the rest for customers.
• StellantiscoreStrategic or Co-development Partner · 19 November 2025Stellantis granted Carvana franchise dealer status to sell new Chrysler, Dodge, Jeep, and Ram vehicles. Carvana acquired seven Stellantis dealerships since early 2025, with Casa Grande, AZ becoming Stellantis's top-selling U.S. location. This partnership marks the first time Stellantis has allowed a non-traditional franchise dealer to sell new vehicles.

Scale indicators17 records

Recent moves9 records

Expansion highlights6 records

Direct peers

• CarMax: The largest used car retailer in the US with both physical stores and online sales, directly competing with Carvana in the online used car segment with similar transparent pricing and financing offerings.
• Vroom: Online-first used car retailer competing directly with Carvana in the digital used car marketplace, with home delivery, no-haggle pricing, and financing services.
• Copart: Operates the largest online vehicle auction marketplace in North America, directly comparable to Carvana's ADESA subsidiary in wholesale auto auction services and digital platform infrastructure.
• Manheim: Cox Enterprises-owned wholesale auto auction business with extensive physical and digital infrastructure, the historical leader in the wholesale auto auction space that ADESA directly competes with.

Broad incumbents

• AutoNation: Largest US automotive retailer with used car operations (AutoNation USA), new car franchises, and financing — overlapping with Carvana's broader digital strategy and Stellantis franchise acquisitions.
• Lithia Motors: Large US dealer group with significant used car and digital retail operations through Driveway, competing across both online and physical channels similar to Carvana's hybrid model.
• Sonic Automotive: US automotive retailer with both new and used car operations including EchoPark used car stores, competing with Carvana in online used vehicle retail.
• Group 1 Automotive: Major US and UK automotive retailer with new and used car sales, plus financing operations that overlap with Carvana's full-service retail and finance approach.

Emerging players

• CarGurus: Online automotive marketplace connecting buyers and sellers with dealer inventory listings, an indirect competitor and adjacency to Carvana's marketplace model in the car listing and discovery phase.
• TrueCar: Online car pricing and marketplace platform focused on new and used vehicle price transparency, complementary to Carvana's no-haggle pricing model and digital car buying experience.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/carvana
• Xx.com/carvana
• Facebookfacebook.com/CARVANA.BuyCarsOnline

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Subsidiaries2 records

Funding overview

Funding rounds10 records

Investors5 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A3 records

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Carvana